The Mondragon model is an excellent one. It was actually established based on the basic principles of the International Cooperative Alliance (ICA), which evolved from the early cooperative communitarian/socialist and mutualist theorists and organizers who have been proposing and campaigning and yes fighting back (against Institutionalized Violence and Oppression) for centuries.
In its more recent history, Mondragon has strayed somewhat from some of its ideals due to its need to integrate into a larger Capitalist economy, which eschews externalities (social and environmental values, goals, and concerns). However, it's conception, early success, and its peaceful and productive response to historical antagonisms are instructive and exemplary.
I concur with Ivan that the active promotion of artisanry would be an important part of all economic development initiatives and folks following the Mondragon Operating Guidelines of Person Centered, Cooperation, Continual Improvement, and Community Commitment would help ascertain that such would occur.
Reading the article and assessing the economic realities brings to mind issues of economic paralysis associated with the inflated costs of doing business (the inflated costs of real and capital assets) and the difficulties associated with replicating the Mondragon success in today's very different economic environment.
One of the keys to the community wide success of Mondragon was was the Community Commitment Principle which states that among the mission of the Organization is "to create jobs and create community wealth (equity) are the irrevocable requirement of our community vocation". They did this by earmarking a percentage of revenues from successful workers' cooperatives to the start-up of new workers' cooperatives.
So where and how do we find and create the successful workers cooperatives willing to share in a like manner?
Showing posts with label Mondragon. Show all posts
Showing posts with label Mondragon. Show all posts
Thursday, February 4, 2010
Sunday, January 3, 2010
Regarding Mondragon
Recently, the "Solidarity Economy Network" published an article that was printed in Time Magazine, about the Mondragon "Cooperative" Corporation (MCC), MCCs recent "letter of intent" with United Steelworkers (USW), and two very small workers cooperatives start-ups in Cleveland and SF Bay. While I applaud the efforts in Cleveland and SF Bay and wish them much success and a more honorable and principled and eventually all-encompassing "growth" than the original MCC, let's not get deluded by wishful thinking and political greenwash.
You must understand the cooptation that has occurred in the Mondragon "Cooperative" CORPORATION (MCC) which started small and highly principled, but has in reality evolved to little more than another predatory Capitalist Conglomerate. Starting as International Cooperative Alliance principled workers cooperatives, MCC has devolved to a Corporation, who according to this PR glitz article, has over 100 workers' cooperatives in a Corporation of 256 Companies. That translates to about 150 Companies, who are NOT workers' cooperatives, and knowing the history of Mondragon, it is a fairly safe bet that those 100 or so are probably functioning now as worker cooperatives in just about name only.
Early Mondragon experience can be a very useful model. But the bootstraps model that the Capitalists, including the lackey Labor Organization, USW, want us to get enthused about is a false promise and destined to fail like the MCC did in truely living out its original mission and intent.
Only a unified Socialism that precludes the corrupting missions and modus operandis of unprincipled Capitalist realities (Capitalism eschews externalities), will allow for the success of an economy that sets out to meet the needs of the people in an inclusive, equitable, humane, wellness oriented, sustainable, and peaceful manner.
Mike Morin
You must understand the cooptation that has occurred in the Mondragon "Cooperative" CORPORATION (MCC) which started small and highly principled, but has in reality evolved to little more than another predatory Capitalist Conglomerate. Starting as International Cooperative Alliance principled workers cooperatives, MCC has devolved to a Corporation, who according to this PR glitz article, has over 100 workers' cooperatives in a Corporation of 256 Companies. That translates to about 150 Companies, who are NOT workers' cooperatives, and knowing the history of Mondragon, it is a fairly safe bet that those 100 or so are probably functioning now as worker cooperatives in just about name only.
Early Mondragon experience can be a very useful model. But the bootstraps model that the Capitalists, including the lackey Labor Organization, USW, want us to get enthused about is a false promise and destined to fail like the MCC did in truely living out its original mission and intent.
Only a unified Socialism that precludes the corrupting missions and modus operandis of unprincipled Capitalist realities (Capitalism eschews externalities), will allow for the success of an economy that sets out to meet the needs of the people in an inclusive, equitable, humane, wellness oriented, sustainable, and peaceful manner.
Mike Morin
Wednesday, December 23, 2009
Letter to "Capitalist" Friend
Ian,
I am writing to request your assistance with respect to my strategy to transition the Private Investment Sector to a Quasi-Public Equity Sharing One. Certainly, if you have perused my web log you would have gleaned reference to such a fundamental paradigm shift from Capitalism to Socialism.
Recently, the USW (United Steelworkers) signed a letter of intent with the Mondragon Cooperative Community Corporation (MCC), a rather hopeful, peaceful evolutionary model that originated in the Basque Region of Spain and has grown tremendously (not without its problems associated with trying to integrate into the Capitalist Economy). I have been trying to work with USW, but have so far been rebuffed. My, not brazenly presented, suggestion that seriously pursuing such an intent translated to evolving the acronym USW to United Socialist Workers was rejected in an arrogant, reactionary manner.
I am frustrated by the apparent lack of historical perspective and long range vision that our Labor "leaders" possess.
Anyway, thee should read about Mondragon. I'll give a very brief recap.
They were formed in the Basque region of Spain, called Mondragon because it was a FORMER region of iron ore deposits and iron and steel smelting. The people of the region were separatists continuing rebellion in sympathy with the revolutionary movement in Spain, of which they were part, that was defeated by the notorious forces of Franco.
The Mondragon system came about as an attempt to positively channel the Socialist ideals of the communities in the region. They started not-for-profit workers' cooperatives with pre-determined revenues earmarked to re-invest in new workers' cooperatives. Being a very principled and democratic organization, based on the principles of the International Cooperative Alliance, and being fortunate enough to be starting while the Capitalist economy, within which they were working, was still in a growth phase (unlike the very dangerous resource constraints that the world faces now) and astute enough to find opportunity, they were fabulously successful.
They grew so much, so fast, that they began to and increasingly to stray from the ideals upon which they were formed, eventually being corrupted by their perceived growth needs and less than fully principled leadership that saw, rightly or wrongly the need to integrate themselves into the ways of Capitalism as they began joint ventures with less than principled Corporations.
Being a product of their times, they are not and never were "green".
Our discussion of Zip-Car, which I stated to be a less than optimal co-optation of the great and necessary idea of vehicle cooperatives, could be a small move in the right direction if it were structured as a not-for-profit worker/community hybrid cooperative.
Your thoughts?
In Peace, Friendwalkin', Community, Cooperation, and Solidarity,
Mike Morin
Eugene, OR, USA
(541) 343-3808
I am writing to request your assistance with respect to my strategy to transition the Private Investment Sector to a Quasi-Public Equity Sharing One. Certainly, if you have perused my web log you would have gleaned reference to such a fundamental paradigm shift from Capitalism to Socialism.
Recently, the USW (United Steelworkers) signed a letter of intent with the Mondragon Cooperative Community Corporation (MCC), a rather hopeful, peaceful evolutionary model that originated in the Basque Region of Spain and has grown tremendously (not without its problems associated with trying to integrate into the Capitalist Economy). I have been trying to work with USW, but have so far been rebuffed. My, not brazenly presented, suggestion that seriously pursuing such an intent translated to evolving the acronym USW to United Socialist Workers was rejected in an arrogant, reactionary manner.
I am frustrated by the apparent lack of historical perspective and long range vision that our Labor "leaders" possess.
Anyway, thee should read about Mondragon. I'll give a very brief recap.
They were formed in the Basque region of Spain, called Mondragon because it was a FORMER region of iron ore deposits and iron and steel smelting. The people of the region were separatists continuing rebellion in sympathy with the revolutionary movement in Spain, of which they were part, that was defeated by the notorious forces of Franco.
The Mondragon system came about as an attempt to positively channel the Socialist ideals of the communities in the region. They started not-for-profit workers' cooperatives with pre-determined revenues earmarked to re-invest in new workers' cooperatives. Being a very principled and democratic organization, based on the principles of the International Cooperative Alliance, and being fortunate enough to be starting while the Capitalist economy, within which they were working, was still in a growth phase (unlike the very dangerous resource constraints that the world faces now) and astute enough to find opportunity, they were fabulously successful.
They grew so much, so fast, that they began to and increasingly to stray from the ideals upon which they were formed, eventually being corrupted by their perceived growth needs and less than fully principled leadership that saw, rightly or wrongly the need to integrate themselves into the ways of Capitalism as they began joint ventures with less than principled Corporations.
Being a product of their times, they are not and never were "green".
Our discussion of Zip-Car, which I stated to be a less than optimal co-optation of the great and necessary idea of vehicle cooperatives, could be a small move in the right direction if it were structured as a not-for-profit worker/community hybrid cooperative.
Your thoughts?
In Peace, Friendwalkin', Community, Cooperation, and Solidarity,
Mike Morin
Eugene, OR, USA
(541) 343-3808
Saturday, October 31, 2009
With Respect to Mondragon
This, if it is true, is a very sad report.
The Mondragon Experiment, except for their ignorance of social ecology, was a very promising alternative socialist organization.
They formed successful workers' cooperatives, which spawned others, and they grew to relieve poverty and disaffection in their isolated region.
The problems started as they grew too big and began to need to integrate their business operations with the Capitalist world that surrounded them. The expediency of business operations and personal greed began to outweigh the egalitarian and solidarity principles based on the ICA principles.
Although they carefully built a very democratic cooperative corporate governance model, the complexity of large-scale operations and the accelerating pace eventually began to erode the vigilance and influence of the holders of the founding principles.
If I were beginning a socialist business entity, I would most certainly start with Mondragon, their founding principles and their early history as a positive example. I would study where they went wrong and try to devise mitigating interventions so that the new socialist economy was not corrupted.
The problem is that there IS a Capitalist system, where corporations have certain strategies and tactics (e.g. diversification, economy of scale, worker and environmental exploitation and the eschewing of those costs, etc.) to defeat small business. Otherwise, I'd suggest that the next Mondragon stick to the small mutualist business model and form community alliances only. However, that would not be realistic and successful. As long as there are corporate capitalist conglomerates, it will be impossible to build an alternative socialist economy.
We need world unity, understanding and cooperation.
Nothing less.
Mike Morin
Eugene, OR, USA
The Mondragon Experiment, except for their ignorance of social ecology, was a very promising alternative socialist organization.
They formed successful workers' cooperatives, which spawned others, and they grew to relieve poverty and disaffection in their isolated region.
The problems started as they grew too big and began to need to integrate their business operations with the Capitalist world that surrounded them. The expediency of business operations and personal greed began to outweigh the egalitarian and solidarity principles based on the ICA principles.
Although they carefully built a very democratic cooperative corporate governance model, the complexity of large-scale operations and the accelerating pace eventually began to erode the vigilance and influence of the holders of the founding principles.
If I were beginning a socialist business entity, I would most certainly start with Mondragon, their founding principles and their early history as a positive example. I would study where they went wrong and try to devise mitigating interventions so that the new socialist economy was not corrupted.
The problem is that there IS a Capitalist system, where corporations have certain strategies and tactics (e.g. diversification, economy of scale, worker and environmental exploitation and the eschewing of those costs, etc.) to defeat small business. Otherwise, I'd suggest that the next Mondragon stick to the small mutualist business model and form community alliances only. However, that would not be realistic and successful. As long as there are corporate capitalist conglomerates, it will be impossible to build an alternative socialist economy.
We need world unity, understanding and cooperation.
Nothing less.
Mike Morin
Eugene, OR, USA
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